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City of Santa Ana Mobile Home Parks Assessment of Existing Conditions and Policy Options May 21, 2019 Outreach with Bali Hi Mobile Home Park and Industry Associations City staff met with a representative of J and H Asset Property Management, the property management company for the Bali Hi Mobile Home Park (Bali Hi), a representative of the Manufactured Housing Educational Trust (MHET), and a representative from the Western Manufactured Housing Communities Association (WMHCA). The purpose of the meeting was to obtain further information on the space rent increases and discuss options for City Council consideration. The property management representative from Bali Hi informed staff that the park is family owned. The current management company, J and H Asset Property Management, was hired in 2016. Between 2016 — 2018, space rents were increased between $29 - $49 annually. The prior annual rent increases have been consistent with the current rent increase; the higher rents received the smaller increase, and the lower rents received the larger increase. Per the current management company's knowledge, space rents prior to 2016 were increased between $0 - $15 annually. The management company performs an annual market rent survey and the results are posted in the clubhouse for residents to view. Currently all leases are month to month. Management was planning to offer residents long term leases up to fifteen years with lower annual rent increases. However, this plan has been put on hold due to the current protests. Bali Hi has invested between $80,000 - $100,000 per year over a three year period (2016 — 2018) in overall park maintenance and capital improvements. Infrastructure upgrades have included renovations to the club house and laundry room, new landscaping, re -roofing, painting the garages, providing extra vehicle storage, and a security gate for the park. In 2019, an additional $80,000 - $100,000 is being invested to remodel the pool and pool deck. Management held meetings with the residents to obtain feedback on residents' priorities and the installation of the security gate was in direct response to the feedback. Several parties and events, including entertainment and meals, have also been planned annually at no charge to the residents. Approximately 80 — 120 residents have regularly attended these social events. Per the property management company, since notification of the rent increase the residents have begun the process to form a 11 65A-14